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The IBM Academy of Technology Speaker Series: Staying Innovative Agenda 4:00 – 4:05 Welcome, Why We’re Here, Who is Here & Objectives - John Rothwell, Distinguished Engineer, TC Member of the IBM Academy - John Cohn, IBM Fellow, TC Member of the IBM Academy (refer to deck: 1_AoT_seminar_on_June 19.ppt) 4:05 – 4:45 Staying Innovative – Mandy Chessell, FREng CEng FBCS - STSM, TC Member of the IBM Academy Master Inventor from the IBM Hursley LAB (refer to deck: 2_AoT_seminar_on_June 19.ppt) 4:45 - 5:00 Questions and Answers Wrap-Up & Follow on Sessions (refer to deck: 1_AoT_seminar_on_June 19.ppt) Page 1 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative An organization’s dilemma … Innovative Efficient From “Winning through Innovation – A practical guide to leading organizational change and renewal” by Michael L Tushman and Charles A O’Reilly III Page 2 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Agenda  What sort of people are our inventors and innovators  What happens when they interact with a large organization  What are the key roles for innovation to be successful If the innovation process is so simple Imagine Think  How does IBM enable these roles  Conclusions Do … why is it so hard to achieve? Page 3 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Characteristics of an Innovator             Curious Outward Looking Opportunistic Brilliant Persistent A "hero[ine]" Optimistic Committed Charismatic Friendly Hard working Collaborative             Will not focus "Off message" A "loose cannon" A nuisance Pigheaded A bit weird Fanatical Does not understand "no“ Disruptive The centre of conflict Poor at delivery Non-team player Page 4 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press … 1. Innovators are agents of change  People are afraid that change will lead to a loss of  power,  control and/or  comfort C o m fo rt Zone S tre tch Z o ne P a n ic Z o n e When men are easy in their circumstances, they are naturally enemies to innovations." Joseph Addison Page 5 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press … 2. Innovators don’t just think out of the box, they are out of the box! “The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore all progress depends on the unreasonable man.” George Bernard Shaw, Man and Superman (1903) "Maxims for Revolutionists" Page 6 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press … 3. Busy people focus on their tasks, not their goals No! I can‟t be bothered to see some crazy salesman. We‟ve got a battle to fight! Page 7 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press … 4. Other people can not always "see" innovation  Experts live in a paradigm …  They have a body of knowledge that enables them to be brilliant in a short space of time, but … the paradigm constrains their learning.  The skills that bring us success may also be our downfall.  Often a person needs to experience the problem before they can appreciate the solution Bruner and Postman Page 8 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press … 5. Risk-taking is often allowed, but failure isn’t … A young journalist challenged Thomas Edison, "Mr. Edison, why do you keep trying to make light by using electricity when you have failed so many times? Don't you know that gas lights are with us to stay?" To this Edison replied, "Young man, don't you realize that I have not failed but have successfully discovered six thousand ways that won't work!“ On October 21, 1879, after thirteen months of repeated failures, Edison finally succeeded in finding a filament that would work. Page 9 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press … 6. Vision and loyalty discourage dissent Pointing out facts that are in conflict with the vision does not win you friends … however right you are  Come on Charlie, we’ve got to climb K2, the tallest mountain in the world Page 10 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press …  Stages of suppressing dissent [in other organizations ] 1. Arguing 2. Listening but not hearing 3. Laughing it off 4. Ignoring 5. Making invisible 6. Forbidding 7. Removal  Notice, the idea is first attacked and if that has no effect, the person is attacked. From “Creating the Innovation Culture: Leveraging visionaries, dissenters and other useful trouble makers in your organization” by Frances Horibe Page 11 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why do innovators get a bad press … 7. Large successful organizations know best … Page 12 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Its Culture not Process 1. Innovators are agents of change … people fear change 2. Innovators don’t just think out of the box, they are out of the box! 3. Busy people focus on their tasks, not their goals 4. Other people can not always "see" innovation 5. Risk-taking is often allowed, but failure isn’t … 6. Vision and loyalty discourage dissent 7. Large successful organizations know best … Page 13 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Case Study of Successful Innovation  In 1905, a single US Navy gunner hit more targets in a minute than could have been hit before by 5 ships firing continuously for 25 minutes.  This is a 3000% improvement in accuracy !!!!  It was possible because of a new technique called “Continuous Aim Firing”  How did this Innovation happen … Learning and innovation go hand in hand. The arrogance of success is to think that what you did yesterday will be sufficient for tomorrow." “Don’t worry about people stealing an idea. If it’s original you will have to ram it down their throats” William Pollard Howard Aiken Page 14 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Continuous Aim Gunfire (1898-1905)  Aiming a cannon on a continuously pitching platform is difficult.  Admiral Percy Scott (Royal Navy) noticed one of his gunners was more accurate than the rest and modified the guns to favour this gunner’s technique  Lieutenant William Sims (US Navy) met Admiral Scott in 1900 and was impressed with the technique  Theodore Roosevelt (US President) recognized the value of the idea Page 15 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Why did the Navy resist a 3000% improvement?  The organization did not believe it had a problem  At that time Sims was only a Lieutenant, 7,500 miles away  This advancement threatened the core culture of Naval warfare … Page 16 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Traditional naval battle - fought at close quarters Page 17 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Continuous Aim Firing was successful because … The innovation was created and proven …  Bright Spark [Jack]  Enabler [Admiral Percy Scott] The innovation was widely adopted …  Champion [Lieutenant William Sims]  Implementer [President Theodore Roosevelt] Page 18 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative What do we need to do … … in addition to being highly efficient, of course  Generate an environment where bright sparks flourish  Provide an environment to prove the idea  Surface the innovation to those that can make the change  Make the change Page 19 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative IBM  190,000 technical people (approx)  Wide range of skills   Electronics Hardware    Software Services Research  Independent Units  Interlocking Teams Page 20 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Pyramid Organizations Official Communication Technical Community Page 21 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Informal networks add agility Informal Networks Page 22 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative The IBM Academy of Technology Executives Industry Members Affiliates Page 23 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Patents protect our work as part of a bigger process Research Problem Invent or Innovate Patent Idea Reuse Harvest and share Solution Publish Protect Prove Page 24 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Connecting Bright Sparks to Champions and Implementers  Fast connections between senior leadership and grass roots  Dual Career Ladder  Mentoring  ExtremeBlue student program  Networking Events  Employee Directory (Bluepages)  World-wide Jams  ThinkPlace  IBM Academy of Technology Page 25 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Creating space for innovation projects … …. using different business models …  Timeframe for technologies  Horizon 1 - Successful products in a large customer base  Focus on customer satisfaction, quality, stability  Horizon 2 - New products in a growing market  Focus on market share  Horizon 3 - Technology that is very important to the future of the industry but is not mature enough for widespread use.  Focus on developing proof-points in the market Page 26 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative External Collaboration - an example … IBM Research University Customer Initial Demonstration Development Technology Preview Executive Review Patents Articles Conferences Page 27 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative What can you do? Page 28 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Being a Bright Spark: have lots of ideas …  Bright Sparks think of the customer  focus on the problem  do not try to think about how to extend an existing solution  They have fun  They look for emotional reactions which suggests a novel idea [remember the comfort zone]   laughter admiration   anger fear  They work in a team of "different" people who care about solving the problem  They use lateral thinking techniques  They keep moving Page 29 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative The Albert Einstein page "Any intelligent fool can make things bigger, more complex, and more violent. It takes a touch of genius -- and a lot of courage -- to move in the opposite direction." “Imagination is more important than knowledge” "The important thing is not to stop questioning. Curiosity has its own reason for existing." "Not everything that counts can be counted, and not everything that can be counted counts." (Sign hanging in Einstein's office at Princeton) “If I say „I know‟ I stop thinking” Page 30 "If the facts don't fit the theory, change the facts." © 2006 IBM Corporation Mandy Chessell The IBM Academy of Technology Speaker Series: Staying Innovative Being an Enabler: Creating Bright Sparks  Freedom of thought  Diversity Initiatives   Tolerance of dissent     “That sounds interesting – how do we make it work?” Special Interest Groups University/Schools connections Professional activities Intranet/Internet Encouragement of Extra Curricular Activities    Openness of information  Skilled management team Education on Innovation  Rewards for the “right” people  Invention/Publication Awards   Technical Resources Programs Evidence of Innovation required for senior technical positions Page 31 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Being a Champion: How easy is it to change things?  It depends ...  Easy situations - just do it, publicize it and celebrate  Hard situations - you need to run a project (more later)  Very hard situations - is this the best use of your time? Hard Sphere of Influence Easy Page 32 Very Hard Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative How to extend your sphere of influence …  It is important to build networks and teams, because no one person can do it all by themselves. Hard Sphere of Influence Easy Page 33 Very Hard Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative How to extend your sphere of influence …  It is important to build networks and teams, because no one person can do it all by themselves. Hard Sphere of Influence Easy Page 34 Very Hard Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative How to extend your sphere of influence …  Alternatively, move your sphere of influence ... Sphere of Influence Easy Page 35 Very Hard Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Assessing your network [Family and Friends] Technical Leaders, Mentors, Colleagues from previous roles Your Manager Your Peers You Your Team I am smiling because you are my sister. I am laughing because there is nothing you can do about it Page 36 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Filling the gaps in your network [using strangers]  There are many sources of information to find out who is involved in an area of technology, where they are meeting and the state of the art.  Internal  External Page 37 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative The Implementer: Making Change  It takes time, persistence, determination  There is often conflict as other teams can feel threatened.  Sometimes you have to be sneaky  [Remember Christopher Wren and St Paul’s Cathedral]  It is important to keep selling the idea (or reasons for change) even when you think it is understood  Success might not feel like a victory  ... or be how you imagined First they ignore you. Then they laugh at you. Then they fight you. Then you win [ or lose? ]. Page 38 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Conclusions and Summary  Change is occurring all the time  Organizations need to be  Efficient to survive in the short term  Encourage innovation and experimentation to survive in the long term This is a difficult balance to maintain  Innovation is encouraged through culture rather than institutionalized in a process  There are 4 roles in innovation:    Bright Spark Enabler Champion  Implementer Each must be present for the innovation to succeed – a team effort! Page 39 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Conclusions and Summary  Characteristics of an innovative organization  For bright sparks:  Encouraged to learn and debate their thoughts and concerns  Rewarded for a variety of results rather than adherence to procedure  For enablers:  Empowered to run their teams as they see fit  An interest in the concerns of all members of their organization  For champions:  Networking, flexible organizations  Courage to dissent - “speak truth to power” [and a bullet-proof vest ]  For implementers:  A concern for the future  Time to listen  Power to change the organization’s fundamentals Page 40 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative Call to Action  Spread the word  Take steps to become …  A Bright Spark  An Enabler  A Champion  An Implementer  Take time to listen to a different point of view Page 41 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative My Bookshelf    “Creating the Innovation Culture: Leveraging visionaries, dissenters and other useful trouble makers in your organization” by Frances Horibe, ISBN 0-471-64628-8 “Winning through Innovation – A practical guide to leading organizational change and renewal” by Michael L Tushman and Charles A O’Reilly III, ISBN 1-57851-821-0 “The engines of our ingenuity” by John Lienhard, ISBN 0-19-513583-0      “Time to Think – Listening to ignite the human mind” by Nancy Kline, ISBN 0-7063-7745-1 "Teaching Smart People How to Learn" by Chris Argyris - first published in the Harvard Business Review, MayJune 1991, pp 99-109 “Who moved my cheese?” by Dr Spencer Johnson, ISBN 0-0918-1697-1 “The Dilbert Principle” by Scott Adams, ISBN 0-7522-7220-9 “Polar Bear Pirates – and their quest to reach Fat City – A grown-ups’ book for kids at work” by Adrian Webster, ISBN 0-553-81595-4   “Fish! – A remarkable way to boost morale and improve results” by Stephen C Lundin, Harry Paul and John Christensen, ISBN 0-340-81980-4 “Fear without Loathing”, Nicola Phillips, ISBN 1-84112-473-7 Page 42 Mandy Chessell © 2006 IBM Corporation The IBM Academy of Technology Speaker Series: Staying Innovative The End Kierkegaard drew his point – you can make wild ducks tame, but you can never make tame ducks wild again. z z z zz zz One might also add that the duck who is tame will never go anywhere any more. We are convinced that business needs its wild ducks. And in IBM we try not to tame them. Questions? Thomas J Watson, Jr, 1963 Page 43 Mandy Chessell © 2006 IBM Corporation

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